Rupee weakness continues depressing stock market sentiments, dollar strengthens and domestic fuel prices hit fresh highs

08th Sept – 14th Sept

1. Gold jewellery exports have doubled between April-July 2018

September 12, 2018

As reported by Gems and Jewellery Export Promotion Council (GJEPC), overall gold jewellery exports have more than doubled to $4.28 billion for the four-month period ending July this year from $2.095 billion the same period last year, though overall net G&J exports remained flat at $10.638 billion between April – July 2018, compared to $11.126 billion for the corresponding period last year.

Source: Business Standard.

2. Higher CAD keeping rupee under pressure and damaging stock market bullish structure

September 11, 2018

Rising oil prices and sliding rupee are the key reasons behind India’s widening Current Account Deficit. These factors are also haunting stock markets from life time highs. CAD increased to a four-quarter high as per latest government data.

Source: Economic Times

3. Indian demand for imported electronic goods to reduce due to higher dollar against rupee

September 11, 2018

Imports of electronic items like mobile phones, battery chargers and cameras are the new areas which are affecting CAD drastically. However, demand may slow down as a weaker rupee makes these goods more expensive, dissuading imports.

Source: Economic Times

4. Indian fuel prices hits fresh high with rising crude oil and falling Indian rupee

September 11, 2018

Petrol and diesel prices are at highest levels following positive move of crude oil which is rising in the last 6 weeks and a weak Indian rupee is making imported crude more costly in India. Petrol price in Delhi climbed to Rs 80.87 per litre,while in Mumbai it inched up to Rs 88.26. A litre of diesel in the national capital was priced at Rs 72.97 and at Rs 77.47 in Mumbai.

Source: Times of India

5. US Sanctions on Iran and halted production at US Drilling boosted Oil prices

September 10, 2018

The US energy companies cut two oil rigs last week, bringing the total count to 860. The US rig count has stagnated since May, after staging a recovery since 2016. With US rig activity stalling and Iran sanctions looming, the oil market outlook is tightening

Source: Business Line

6. US actions on Trade war and rising dollar is keeping Indian rupee under pressure

September 10, 2018

US action on trade war against China, Russia, Canada and policy on the Iran nuclear deal is strengthening the US Dollar against all major currencies, keeping the rupee under pressure. The evolving economic contrast between the US and other countries is likely to ensure that the US central bank stays on its monetary tightening path, which should continue to strengthen the US dollar.

Source: DNA

7. Higher fuel prices likely to keep commodities and services expensive

September 09, 2018

Rising diesel and petrol prices are increasing the cost of goods and services such as transportation and food in India. Fuel prices are depending on Crude oil which is increasing from the last 5 weeks towards recent highs. Rising oil prices which are resulting in a higher dollar are also making imported goods costlier.

Source: Business Standard

8. China increases Oil imports in August to 38.38 million tonnes, 6.5 higher

September 08, 2018

As per reports from China’s Custom data, crude oil imports rose 6.5 percent in the month of August from July 2018, which is the highest since May 2018. This surge is boosted by a rebound in demand from smaller, independent refiners.

Source: Reuters